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Unemployment 'to outpace job growth'

It is likely that the rise in unemployment will outpace the number of new jobs coming to the market over the coming months, it has been claimed.

Simon Kirby, economist for the National Institute of Economic and Social Research, said people are likely to continue to find it difficult to get new jobs, as the rate of growth is not yet strong enough to offset the impact of the recent recession.

He commented: "The fact that the economy is emerging out of recession is good news, but what we need to bear in mind is that unemployment probably will still rise if the economy continues to be weak over the next couple of years."

Elsewhere, the Chartered Institute of Personnel and Development recently published its quarterly Labour Market Outlook survey in partnership with KPMG and showed that there is a growing difference between job prospects in the private and public sectors.

It found that while private sector employers are more optimistic about creating jobs in the second quarter of 2010, public sector employers are radically more pessimistic.